EAST WEST BANKING CORPORATION EASTWEST PESO MONEY MARKET FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < For the Month 29 November 2018 FUND FACTS Classification: Peso Money Net Asset Value per Unit P1,318.7686 Market (NAVPU): Launch Date: 1 March 2007 Total Fund NAV: P275.715 million Min. Initial Investment: P10,000 Dealing Day: Daily, up to 12 noon Min. Additional Investment: P1,000 Redemption Settlement: Next banking day from date of redemption Min. Holding Period: None Early Redemption Charge: Not Applicable Applicable Tax: 20% Final Tax Valuation: Marked-to-Market FEES* Trustee Fee: 0.020792% EastWest Bank Trust Division Custodianship Fee: HSBC *Ratio of expense to the quarter s average daily net asset value. External Audit Fee: SGV Other Fees: 0.000085% INVESTMENT OBJECTIVE AND STRATEGY The Fund aims to provide its participants with enhanced yields for their short-term liquidity needs by investing in a portfolio of bank deposits with maximum time to maturity of twelve months. The Fund s benchmark is 100% Philippine 30-Day Special Savings Rate (net of withholding tax). CLIENT SUITABILITY A client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is suitable for investors who: Have a conservative risk appetite Are looking for current income over an investment time horizon of at least thirty days KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. Investors may not get back the value of their original investment upon redemption. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: o Inflation risk Potential or actual loss of purchasing power arising from the inability of the Fund s return to keep pace with the rate of increase of the prices of goods and services. o Credit risk Potential or actual losses arising from inability of borrower to pay principal and/or interest on deposits in a timely manner. THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 o Reinvestment risk Potential or actual losses from reinvesting interest earnings at a rate lower than the original investment. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. The Fund aims to prevent loss of principal at all times by staying invested in deposits only. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 1340 1320 1300 1280 1260 1240 1220 1200 Fund Benchmark NAVPU over the past 12 months Highest 1,318.7686 Lowest 1,288.4731 Key Statistics Weighted Ave. Duration 0.05 Volatility, Past 1 Year* 0.000040 Sharpe Ratio** 7.69 Information Ratio*** 9.18 Portfolio Composition (%) Deposits in Own Bank 3.98 Deposits in Other Banks 96.02 Total 100.00 Top Five Holdings (%) TD - Other Bank 14.15 Cumulative Return Annualized Return TD - Other Bank 14.15 1Mo YTD 1Yr 3Yrs 5Yrs TD - Other Bank 14.04 Fund 0.31% 2.22% 2.36% 1.82% 1.63% TD - Other Bank 13.49 Benchmark 0.13% 1.82% 2.02% 2.01% 1.80% TD - Other Bank 13.09 *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Information Ratio measures reward-to-risk efficiency of the portfolio relative to the benchmark. The higher the number, the higher the reward per unit of risk. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund has deposit placements with EastWest Bank amounting to P11.01 million. The investment outlets were approved by the Board of Directors. All related party transactions are conducted on a best execution and arm s length basis. OUTLOOK AND STRATEGY. The Fund will maintain its capital preservation mandate by investing mainly in high-yield bank deposits and special savings accounts. PROSPECTIVE INVESTMENTS. The Fund s prospective investments, depending on availability and market development, may include bank term deposits, and special savings accounts.
EAST WEST BANKING CORPORATION EASTWEST PESO SHORT TERM FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < FUND FACTS For the Month 29 November 2018 Classification: Peso Money Net Asset Value per Unit P103.3182 Market (NAVPU): Launch Date: 1 June 2016 Total Fund NAV: P31.933 million Min. Initial Investment: P10,000 Dealing Day: Daily, up to 12 noon Min. Additional Investment: P1,000 Redemption Settlement: Next banking day from date of redemption Min. Holding Period: None Early Redemption Charge: Not Applicable Applicable Tax: 20% Final Tax Valuation: Marked-to-Market FEES* Trustee Fee: 0.020806% EastWest Bank Trust Division Custodianship Fee: 0.013317% HSBC *Ratio of expense to the quarter s average daily net asset value. External Audit Fee: SGV Other Fees: 0.000238% INVESTMENT OBJECTIVE AND STRATEGY The Fund aims to provide its participants liquidity and stable income derived from diversified portfolio of fixed income instruments. The Fund s benchmark is the Bloomberg Philippine Sovereign Bond Index Money Market, Adjusted. CLIENT SUITABILITY A client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is suitable for investors who: Have a moderate risk appetite Are looking for stable income over an investment time horizon of at least thirty days KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. Investors may not get back the value of their original investment upon redemption. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: o Market risk Potential or actual losses arising from adverse changes in market prices of securities. o Inflation risk Potential or actual loss of purchasing power arising from the inability of the Fund s return to keep in pace with the rate of increase of the prices of goods and services. o Credit risk Potential or actual losses arising from inability of borrower to pay principal and/or interest on deposits in a timely manner. THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 o Reinvestment risk Potential or actual losses from reinvesting interest earnings at a rate lower than the original investment. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. The Fund employs a risk management policy based on duration. Duration measures the sensitivity of NAVpU to interest rate movements. As interest rates rise, bond prices fall. The higher the duration, the more the NAVpU will fluctuate in relation to changes in interest rates. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 104.00 103.00 102.00 101.00 100.00 NAVPU over the past 12 months Highest 103.3772 Lowest 101.5566 Key Statistics Weighted Ave. Duration 0.76 Volatility, Past 1 Year* 0.000787 Sharpe Ratio** -0.86 Information Ratio*** NA 99.00 98.00 Fund Portfolio Composition (%) Cash 79.43 Government Securities 11.76 Corporate Bonds 8.81 Total 100.00 Top Five Holdings (%) TD - Own Bank 13.68 Cumulative Return Annualized Return TD - Other Bank 12.64 1Mo YTD 1Yr 3Yrs 5Yrs TD - Other Bank 12.20 Fund 0.27% 1.53% 1.57% NA NA TD - Other Bank 12.19 Benchmark**** NA NA NA NA NA TD - Other Bank 12.19 *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Information Ratio measures reward-to-risk efficiency of the portfolio relative to the benchmark. The higher the number, the higher the reward per unit of risk. ****Temporarily unavailable due to shift of valuation method PDS to BVAL. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund has deposit placements with EastWest Bank amounting to P4.36 million and investments in Cyberzone Properties Inc. 2023 bonds with principal value of P1 million. The investment outlets were approved by the Board of Directors. All related party transactions are conducted on a best execution and arm s length basis. OUTLOOK AND STRATEGY. BSP adjusted policy rates an additional 25 basis points in November. It delivered a bit of good news as it lowered inflation forecasts for the coming years to within its original target of 2%-4%. Consumer prices remained elevated but inflation outlook turned more positive given decline in oil prices and appreciation of the peso. The Fund will maintain its defensive positions and keep portfolio duration short. PROSPECTIVE INVESTMENTS. The Fund s prospective investments may include securities issued or guaranteed by the Philippine government, tradable securities issued by financial institutions or private corporations, marketable instruments and loans that are traded in an organized exchange, bank deposits, similar collective investment vehicles subject to existing BSP regulations, and such other investment outlets/categories the BSP allow.
EAST WEST BANKING CORPORATION EASTWEST PESO INTERMEDIATE TERM BOND FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < For the Month 29 November 2018 FUND FACTS Classification: Peso Bond Fund Net Asset Value per Unit P1,850.1961 (NAVPU): Launch Date: 18 February 2005 Total Fund NAV: P170.537 million Min. Initial Investment P10,000 Dealing Day: Daily, up to 12 noon Min. Additional Investment: P1,000 Redemption Settlement: Next banking day from date of redemption Min. Holding Period: 30 calendar days Early Redemption Charge: P500 or 0.25% of the amount withdrawn, whichever is higher Applicable Tax: 20% Final Tax Valuation: Marked-to-Market FEES* Trustee Fee: 0.083389% EastWest Bank Trust Division Custodianship Fee: 0.007643% HSBC *Ratio of expense to the quarter s average daily net asset value. External Audit Fee: SGV Other Fees: 0.000051% INVESTMENT OBJECTIVE AND STRATEGY The Fund aims to provide for its participants the potential to earn intermediate-term returns higher than traditional bank deposits. The Fund maintains a total portfolio duration of more than one year to less than three years. The Fund s benchmark is the Bloomberg Philippine Sovereign Bond Index 1-3 Year, Adjusted. CLIENT SUITABILITY A client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is suitable for investors who: Have a moderate risk appetite Are looking for capital growth over an investment time horizon of at least three years KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. Investors may not get back the value of their original investment. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: o o Market risk Potential or actual losses arising from adverse changes in market prices of securities. Liquidity risk Potential or actual losses arising from the Fund s inability to convert its assets into cash immediately at minimal cost. THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 o Credit risk Potential or actual losses arising from inability of borrower to pay principal and/or interest in a timely manner on loans, bonds and other debt securities. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. The Fund employs a risk management policy based on duration. Duration measures the sensitivity of NAVPU to interest rate movements. As interest rates rise, bond prices fall. The higher the duration, the more the NAVPU will fluctuate in relation to changes in interest rates. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 1870 1860 1850 1840 1830 1820 1810 Fund NAVPU over the past 12 months Highest 1,865.0249 Lowest 1,829.3414 Key Statistics Weighted Ave. Duration 1.38 Volatility, Past 1 Year* 0.001000 Sharpe Ratio** -1.77 Information Ratio*** NA Portfolio Composition (%) Cash 48.79 Government Securities 48.52 Corporate Bonds 2.69 Total 100.00 Top Five Holdings (%) RTB 5-11 25.93 Cumulative Return Annualized Return TD - Other Bank 14.46 1Mo YTD 1Yr 3Yrs 5Yrs RTB 3-8 14.35 Fund 0.38% -0.29% -0.19% 0.65% 0.61% TD - Own Bank 11.28 Benchmark**** NA NA NA NA NA TD - Other Bank 8.88 *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Information Ratio measures reward-to-risk efficiency of the portfolio relative to the benchmark. The higher the number, the higher the reward per unit of risk. ****Temporarily unavailable due to shift of valuation method PDS to BVAL. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund has deposits with EastWest Bank amounting to P19.17 million and investments in Cyberzone Properties Inc. 2023 bonds with principal value of P5 million. The investment outlets were approved by the Board of Directors. All related party transactions are conducted on a best execution and arm s length basis. OUTLOOK AND STRATEGY. BSP adjusted policy rates an additional 25 basis points in November. It delivered a bit of good news as it lowered inflation forecasts for the coming years to within its original target of 2%-4%. Consumer prices remained elevated but inflation outlook turned more positive given decline in oil prices and appreciation of the peso. The Fund will maintain its defensive positions and keep portfolio duration short. PROSPECTIVE INVESTMENTS. The Fund s prospective investments include securities issued by or guaranteed by the Philippine government, marketable fixed income securities issued by corporations and traded in an organized exchange, securities issued by or guaranteed by any government of a foreign country or any political subdivision of a foreign country, securities issued by any supranational entity, loans traded in an organized exchange, savings and time deposits in any bank or financial institution, and other tradable investment outlets categories as the BSP may allow.
EAST WEST BANKING CORPORATION EASTWEST DOLLAR INTERMEDIATE TERM BOND FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < For the Month 29 November 2018 FUND FACTS Classification: US Dollar Bond Fund Net Asset Value per Unit USD 133.3235 (NAVPU): Launch Date: 18 March 2005 Total Fund NAV: USD 1.130 million Minimum Initial USD 2,000 Dealing Day: Daily, up to 12 noon Investment: Minimum Additional USD 200 Redemption Settlement: 3 banking days from date of redemption investment: Minimum Holding 30 calendar days Early Redemption Period: Charge: Applicable Tax: 15% Final Tax Valuation: Marked-to-Market USD 10.00 or 0.25% of the amount withdrawn, whichever is higher FEES* Trustee Fee: 0.041645% EastWest Bank Trust Division Custodianship Fee: 0.014959% HSBC *Ratio of expense to the quarter s average daily net asset value. External Audit Fee: SGV Other Fees: INVESTMENT OBJECTIVE AND STRATEGY The Fund aims to achieve for its participants the potential to earn enhanced intermediate-term returns by investing in sovereign bonds issued by the Republic of the Philippines and other countries, corporate notes and bonds, term deposits and other tradable instruments. The Fund maintains a total portfolio duration of up to three years. The Fund s benchmark is the 25% Bloomberg USD Emerging Market Philippines Sovereign Bond Index + 75% Average Philippine US Dollar Savings Deposit Rate. CLIENT SUITABILITY A client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is suitable for investors who: Have a moderate risk appetite Are looking for capital growth over an investment time horizon of at least three years KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. Investors may not get back the value of their original investment. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 o o o Market risk Potential or actual losses arising from adverse changes in market prices of securities. Liquidity risk Potential or actual losses arising from the Fund s inability to convert its assets into cash immediately at minimal cost. Credit risk Potential or actual losses arising from inability of borrower to pay principal and/or interest in a timely manner on loans, bonds and other debt securities. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. The Fund employs a risk management policy based on duration. Duration measures the sensitivity of NAVPU to interest rate movements. As interest rates rise, bond prices fall. The higher the duration, the more the NAVPU will fluctuate in relation to changes in interest rates. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 134 133 132 131 130 NAVPU over the past 12 months Highest 133.3235 Lowest 131.4532 Key Statistics Weighted Ave. Duration 0.92 Volatility, Past 1 Year* 0.00045 Sharpe Ratio** -1.40 Information Ratio*** NA 129 128 127 Portfolio Composition (%) Government Securities 45.58 Cash 21.21 Corporate Bonds 33.21 Total 100.00 Top Five Holdings (%) PSALM 2019 27.29 Cumulative Return Annualized Return ROP 21 27.12 1Mo YTD 1Yr 3Yrs 5Yrs TD - Other Bank 14.62 Fund 0.27% 0.59% 0.58% 0.99% 1.29% ROP 20 9.26 Benchmark**** NA NA NA NA NA ROP 19 9.20 *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Information Ratio measures reward-to-risk efficiency of the portfolio relative to the benchmark. The higher the number, the higher the reward per unit of risk. ****For BSP approval. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund has deposits with EastWest Bank amounting to $73.72 thousand. The investment outlets were approved by the Board of Directors. Moreover, all related party transactions are conducted on a best execution and arm s length basis. OUTLOOK AND STRATEGY. The US economy is expected to expand by 3.1% this year, the highest pace in the current growth cycle. However, economic growth is expected to ease next year as the country gradually removes accommodative policies. US interest rates remain the biggest driver of global interest rates. The Fund will remain defensive and keep duration short. PROSPECTIVE INVESTMENTS. The Fund s prospective investments include securities issued by or guaranteed by the Philippine government, marketable fixed income securities issued or guaranteed by corporations and traded in an organized exchange, securities issued or guaranteed by any government of foreign country or any political subdivision of foreign country, securities issued or guaranteed by any supranational entity, loans traded in an organized exchange, savings and time deposits in any bank of financial institution, and other tradable investment outlets categories as the BSP may allow.
EAST WEST BANKING CORPORATION EASTWEST PESO LONG TERM BOND FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < For the Month 29 November 2018 FUND FACTS Classification: Peso Bond Fund Net Asset Value per Unit P1,397.9959 (NAVPU): Launch Date: 1 March 2007 Total Fund NAV: P43.582 million Min. Initial Investment: P50,000 Dealing Day: Daily, up to 12 noon Min. Additional Investment: P1,000 Redemption Settlement: Next banking day from date of redemption Min. Holding Period: 180 calendar days Early Redemption Charge: P500 or 0.25% of the amount withdrawn, whichever is higher. Applicable Tax: 20% Final Tax Valuation: Marked-to-Market FEES* Trustee Fee: 0.083336% EastWest Bank Trust Division Custodianship Fee: 0.017900% HSBC *Ratio of expense to the quarter s average daily net asset value. External Audit Fee: SGV Other Fees: 0.000127% INVESTMENT OBJECTIVE AND STRATEGY The Fund aims to provide for its participants the potential to earn higher long-term returns by investing in a diversified portfolio of deposits and tradable debt securities issued by Philippine corporations, government and its agencies. The Fund has an average total portfolio duration of more than five years. The Fund s benchmark is the Bloomberg Philippine Sovereign Bond Index AI, Adjusted. CLIENT SUITABILITY A client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is suitable for investors who: Have an aggressive risk appetite Are looking for long-term capital growth over an investment time horizon of at least five years KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. Investors may not get back the value of their original investment upon redemption. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: o Market risk Potential or actual losses arising from adverse changes in market prices of securities. THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 o Liquidity risk Potential or actual losses arising from the Fund s inability to convert its assets into cash immediately at minimal cost. o Credit risk Potential or actual losses arising from inability of borrower to pay principal and/or interest in a timely manner on loans, bonds and other debt securities. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. The Fund employs a risk management policy based on duration. Duration measures the sensitivity of NAVPU to interest rate movements. As interest rates rise, bond prices fall. The higher the duration, the more the NAVPU will fluctuate in relation to changes in interest rates. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 1550 1500 1450 1400 1350 1300 Fund NAVPU over the past 12 months Highest 1,428.0899 Lowest 1,370.7103 Key Statistics Weighted Ave. Duration 2.32 Volatility, Past 1 Year* 0.002012 Sharpe Ratio** -1.49 Information Ratio*** NA Portfolio Composition (%) Cash 12.12 Government Securities 85.82 Corporate Bonds 2.06 Total 100.00 Top Five Holdings (%) RTB 5-11 47.63 Cumulative Return Annualized Return RTB 3-8 29.28 1Mo YTD 1Yr 3Yrs 5Yrs TD - Other Bank 7.03 Fund 0.73% -1.18% -2.18% -0.55% -0.03% RTB 3-9 6.70 Benchmark**** NA NA NA NA NA TD - Own Bank 2.77 *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Information Ratio measures reward-to-risk efficiency of the portfolio relative to the benchmark. The higher the number, the higher the reward per unit of risk. ****Temporarily unavailable due to shift of valuation method PDS to BVAL. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund has deposits with EastWest Bank amounting to P1.20 million. The investment outlets were approved by the Board of Directors. All related party transactions are conducted on a best execution and arm s length basis. OUTLOOK AND STRATEGY. BSP adjusted policy rates an additional 25 basis points in November. It delivered a bit of good news as it lowered inflation forecasts for the coming years to within its original target of 2%-4%. Consumer prices remained elevated but inflation outlook turned more positive given decline in oil prices and appreciation of the peso. The Fund will maintain its defensive positions and keep portfolio duration short. PROSPECTIVE INVESTMENTS. The Fund s prospective investments include securities issued by or guaranteed by the Philippine government, marketable fixed income securities issued or guaranteed by corporations and traded in an organized exchange, securities issued or guaranteed by any government of a foreign country or any political subdivision of a foreign country, securities issued or guaranteed by any supranational entity, loans traded in an organized exchanged, savings and time deposits in any bank or financial institution, and other tradable investment outlets categories as the BSP may allow.
EAST WEST BANKING CORPORATION EASTWEST PSEI TRACKER FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < For the Month 29 November 2018 FUND FACTS Classification: PSEi Tracker Fund Net Asset Value per Unit (NAVpU): Php 103.6906 Launch Date: December 1, 2015 Total Fund NAV: Php 1,333.24 billion Min. Initial Investment: Php 10,000.00 Dealing Day: Daily, up to 12 noon Min. Additional Investment: Php 1,000.00 Redemption Settlement: 4 banking days from date of redemption Min. Holding Period: 30 calendar days Php500 or 0.25% of the Early Redemption redemption amount, whichever Charge: is higher 20% final tax on interest Applicable Tax: income from fixed income, money market investments Valuation: Marked-to-Market FEES* Trustee Fee: 0.062439% EastWest Bank - Trust Division Custodianship Fee: 0.036875% HSBC *Ratio of expense to the quarter s average daily net asset value. External Audit Fee: SGV Other Fees: 0.000171% INVESTMENT OBJECTIVE AND STRATEGY The Fund seeks to achieve investment returns that track the performance of the Philippine Stock Exchange Index (PSEi) by investing in a diversified portfolio of stocks comprising the PSEi in the same weights as the index. The Fund will be passively managed by EW Trust Division. CLIENT SUITABILITY Client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is ideal for investors who: (a) have high risk appetite; and (b) are looking for capital growth with a longterm investment horizon of at least ten (10) years. KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. Investors may not get back the value of their original investment upon redemption. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: Market risk Potential or actual losses arising from adverse changes in market prices of securities. THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Liquidity risk Potential or actual losses arising from the Fund s inability to convert its assets into cash immediately at minimal cost. Index Tracking risk Potential or actual losses arising from not being able to achieve a level of return that matches the index being tracked by the fund. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 130 125 120 115 110 105 100 NAVPU over the past 12 months Highest 126.8416 Lowest 97.0421 Key Statistics Volatility, Past 1 Year* 0.010809 Sharpe Ratio** 0.02 Tracking Error*** 0.0003 95 90 Fund Benchmark Top Ten Holdings (%) SM Investments Corporation 13.42 Ayala Land Inc. 8.89 85 SM Prime Holdings, Inc 8.66 Ayala Corporation 7.19 BDO Unibank, Inc. 7.14 Bank of the Philippine Islands 5.66 Metropolitan Bank & Trust Co. 4.05 Cumulative Annualized JG Summit Holdings, Inc. 3.94 1Mo YTD 1Yr 3Yr Jollibee Foods Corp 3.71 Fund 3.13% -13.60% -10.41% N/A Aboitiz Equity Ventures, Inc. 3.69 Benchmark 3.19% -13.91% -10.74% 6.36% *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Tracking error is a measure of the deviation of the Fund's returns from the benchmark. The lower the number, the better. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund has deposits with EastWest Bank amounting to P11.755 million. These investment outlets were approved by the Board of Directors. Likewise, all related party transactions are conducted on best execution and arm s length basis. OUTLOOK AND STRATEGY. The PSEi rallied on the back of a strong Peso and depressed oil prices, which may lead to inflation being contained moving forward. The BSP raised interest rates by another 25bps, bringing rates to 4.75% US President Trump and China President Xi will meet in the G20 summit to see if both sides can settle their trade spat, an agreement will be an important catalyst to drive markets higher. PROSPECTIVE INVESTMENT. The Fund s prospective investments, depending on availability and market development, may include but are not limited to, stocks in the Philippine Stock Exchange Index, Time Deposits, Government Securities and tradable fixed income securities issued by local financial institutions or private corporations.
EAST WEST BANKING CORPORATION EASTWEST PHILEQUITY FEEDER FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < For the Month 29 November 2018 FUND FACTS Classification: Equity Feeder Fund Net Asset Value per Unit (NAVpU): Php 986.2042 Launch Date: October 29, 2014 Total Fund NAV: Php 295.7195 million Min. Initial Investment: Php10,000.00 Dealing Day: Daily, up to 12 noon Min. Additional Investment: Php1,000.00 Redemption Settlement: 4 banking days from date of redemption Min. Holding Period: 30 calendar days Php500 or 0.25% of the Early Redemption redemption amount, whichever Charge: is higher 20% final tax on interest Applicable Tax: income from fixed income, money market investments Valuation: Marked-to-Market FEES* Trustee Fee: 0.083309% EastWest Bank - Trust Division Custodianship Fee: *Ratio of expense to the quarter s average daily net asset value. External Audit Fee: SGV Other Fees: INVESTMENT OBJECTIVE AND STRATEGY The Fund, operating as a feeder fund, intends to achieve for its participants long-term capital appreciation through investing primarily in a portfolio of listed Philippine equities. The Fund aims to match or exceed the return of the Philippine Stock Exchange Index (PSEi). Toward this end, the Fund shall invest all or substantially its assets in the Philequity Fund, Inc. CLIENT SUITABILITY Client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is suitable for investors who: (a) have high risk appetite; and (b) are looking for capital growth over an investment time horizon of at least 5 years through a managed portfolio of equity securities. KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. The target fund, Philequity Fund, employs a risk management policy based on appropriate diversification of investments intended to generate long term appreciation of the Fund. Investors may not get back the value of their original investment upon redemption. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Nov-15 Feb-16 May-16 Aug-16 Nov-16 Feb-17 May-17 Aug-17 Nov-17 Feb-18 May-18 Aug-18 Nov-18 Counterparty risk Potential or actual losses arising from risks particular to a feeder fund arrangement, as the fund is significantly dependent upon the target fund s communicated investment strategy including excessive concentration as well as timing of data transmittal. Market risk Potential or actual losses arising from adverse changes in market prices of securities. Liquidity Risk Potential or actual losses arising from the Fund s inability to convert its assets into cash immediately at minimal cost. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 1200 1150 1100 1050 1000 950 NAVPU over the past 12 months Highest 1,173.3445 Lowest 935.1240 Key Statistics Volatility, Past 1 Year* 0.009392 Sharpe Ratio** 0.08 Information Ratio*** 0.38 Portfolio Composition (%) PhilEquity Fund 100.00 900 PhilEquity Fund Top Ten Holdings (%) 850 SM Investments Corp. 11.90 Fund Benchmark Ayala Land, Inc. 8.98 800 SM Prime Holdings, Inc. 7.97 Ayala Corporation 6.42 BDO Unibank Inc 5.90 Bank of the Philippine Islands 4.60 Cumulative Annualized Metropolitan Bank & Trust Co. 4.12 1Mo YTD 1Yr 3Yr Jollibee Foods Corporation 3.66 Fund 2.47% -12.06% -9.48% 6.37% Universal Robina Corporation 2.87 Benchmark 3.19% -13.91% -10.74% 6.36% JG Summit Holdings, Inc. 2.84 *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Information Ratio measures reward-to-risk efficiency of the portfolio relative to the benchmark. The higher the number, the higher the reward per unit of risk. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund s target fund (PhilEquity Fund, Inc.) has holdings of Filinvest Land Inc. shares of stocks. OUTLOOK AND STRATEGY. The PSEi rallied on the back of a strong Peso and depressed oil prices, which may lead to inflation being contained moving forward. The BSP raised interest rates by another 25bps, bringing rates to 4.75% US President Trump and China President Xi will meet in the G20 summit to see if both sides can settle their trade spat, an agreement will be an important catalyst to drive markets higher. PROSPECTIVE INVESTMENT. The Fund s prospective investments, depending on availability and market development, may include but are not limited to, PhilEquity Fund, Time Deposits, Government Securities and tradable fixed income securities issued by local financial institutions or private corporations. Investment in the PhilEquity Fund may amount up to 100% of total assets but shall not fall below 90% of total assets of the Fund.
EAST WEST BANKING CORPORATION EASTWEST PHILEQUITY INSTITUTIONAL FEEDER FUND KEY INFORMATION AND INVESTMENT DISCLOSURE STATEMENT > Your dream Our focus < For the Month 29 November 2018 FUND FACTS Classification: Equity Feeder Fund Net Asset Value per Unit (NAVpU): Php 985.1129 Launch Date: September 22, 2014 Total Fund NAV: Php 1.9842 million Min. Initial Investment: Php0.00 Dealing Day: Daily, up to 12 noon Min. Additional Investment: Php0.00 Redemption Settlement: 4 banking days from date of redemption Min. Holding Period: None Early Redemption Charge: None Applicable Tax: 20% final tax on interest income from fixed income, money market investments Valuation: Marked-to-Market FEES* Trustee Fee: 0.0000% p.a. EastWest Bank - Trust Division Custodianship Fee: 0.0000% *Ratio of expense to the quarter s average daily net asset value. ^A separate trust fee is charged instead at the portfolio level. External Audit Fee: 0.0000% SGV Other Fees: 0.0000% INVESTMENT OBJECTIVE AND STRATEGY The Fund, operating as a feeder fund, intends to achieve for its participants long-term capital appreciation through investing primarily in a portfolio of listed Philippine equities. The Fund aims to match or exceed the return of the Philippine Stock Exchange Index (PSEi). Toward this end, the Fund shall invest all or substantially its assets in the PhilEquity Fund, Inc. CLIENT SUITABILITY A client profiling process should be performed prior to participating in the Fund to guide the prospective investor if the Fund is suited to his/her investment objectives and risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the Fund, which may be obtained from the Trustee, before deciding to invest. The Fund is suitable for investors who: (a) have high risk appetite; and (b) are looking for capital growth over an investment time horizon of at least 5 years through a managed portfolio of equity securities. Participation in the Fund is exclusive to managed accounts of EastWest Bank Trust Division. KEY RISKS AND RISK MANAGEMENT You should not invest in this Fund if you do not understand or are not comfortable with the accompanying risks. The target fund, PhilEquity Fund, employs a risk management policy based on appropriate diversification of investments intended to generate long term appreciation of the Fund. Investors may not get back the value of their original investment upon redemption. The value of the Fund may rise or fall. You may lose some or all of your investment depending on the performance of the underlying securities. Factors that may affect the performance of these securities include, without limitation, market risks, fluctuations in interest rates, political instability, exchange controls, changes in taxation and foreign investment policies. Some of the key risks associated with the Fund are described below: THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE PHILIPPINE DEPOSIT INSURANCE CORPORATION (PDIC) THE RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR ILLUSTRATION OF NAVPU MOVEMENTS / FLUCTUATIONS ONLY WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL INVESTMENT AND ANY LOSSES WILL BE SOLELY FOR THE ACCOUNT OF THE CLIENT THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL DEFAULT, BAD FAITH OR GROSS NEGLIGENCE
Nov-15 Feb-16 May-16 Aug-16 Nov-16 Feb-17 May-17 Aug-17 Nov-17 Feb-18 May-18 Aug-18 Nov-18 Counterparty risk Potential or actual losses arising from risks particular to a feeder fund arrangement, as the fund is significantly dependent upon the target fund s communicated investment strategy including excessive concentration as well as timing of data transmittal. Market risk Potential or actual losses arising from adverse changes in market prices of securities. Liquidity risk Potential or actual losses arising from the Fund s inability to convert its assets into cash immediately at minimal cost. These are the principal risk factors which may affect the performance of the Fund. If you would like more information before you invest, please consult the most recent Declaration of Trust (DOT). The rights and duties of the investor are in the DOT. FUND PERFORMANCE AND STATISTICS AS OF 29 NOVEMBER 2018 (Purely for reference purposes and is not a guarantee of future results) NAVPU Graph 1200 1150 1100 1050 1000 950 900 NAVPU over the past 12 months Highest 1,161.8431 Lowest 927.1051 Key Statistics Volatility, Past 1 Year* 0.009339 Sharpe Ratio** 0.14 Information Ratio*** 0.65 Portfolio Composition (%) PhilEquity Fund 100.00 850 Fund Benchmark PhilEquity Fund Top Ten Holdings (%) 800 SM Investments Corp. 11.90 Ayala Land, Inc. 8.98 SM Prime Holdings, Inc. 7.97 Ayala Corporation 6.42 BDO Unibank, Inc. 5.90 Bank of the Philippine Islands 4.60 Cumulative Annualized Metropolitan Bank & Trust Co. 4.12 1Mo YTD 1Yr 3Yr Jollibee Foods Corporation 3.66 Fund 2.55% -11.21% -8.54% 8.32% Universal Robina Corporation 2.87 Benchmark 3.19% -13.91% -10.74% 6.36% JG Summit Holdings, Inc. 2.84 *Volatility measures the degree to which the Fund fluctuates on a daily basis vis-à-vis its average return over a period of time. **Sharpe Ratio is used to characterize how well the return of a Fund compensates the investor for the level of risk taken. The higher the number, the better. ***Information Ratio measures reward-to-risk efficiency of the portfolio relative to the benchmark. The higher the number, the higher the reward per unit of risk. OTHER DISCLOSURES RELATED PARTY TRANSACTIONS. The Fund s target fund (PhilEquity Fund, Inc.) has holdings of Filinvest Land Inc. shares of stocks. OUTLOOK AND STRATEGY. The PSEi rallied on the back of a strong Peso and depressed oil prices, which may lead to inflation being contained moving forward. The BSP raised interest rates by another 25bps, bringing rates to 4.75% US President Trump and China President Xi will meet in the G20 summit to see if both sides can settle their trade spat, an agreement will be an important catalyst to drive markets higher. PROSPECTIVE INVESTMENT. The Fund s prospective investments, depending on availability and market development, may include are but not limited to, PhilEquity Fund, Time Deposits, Government Securities and tradable fixed income securities issued by local financial institutions or private corporations. Investment in the PhilEquity Fund may amount up to 100% of total assets but shall not fall below 90% of total assets of the Fund.